Reservnõudeid

Reservnõudeid, often translated as reserve requirements, are a monetary policy tool used by central banks. They represent the minimum amount of cash that commercial banks must hold in reserve, either in their vaults or on deposit with the central bank, against their deposit liabilities. These reserves are typically a percentage of the bank's total deposits.

The primary purpose of reserve requirements is to ensure banks have sufficient liquidity to meet customer withdrawal demands and to manage the overall money supply in the economy. By adjusting the reserve requirement ratio, a central bank can influence the amount of money banks have available to lend. Increasing the ratio reduces the amount of lendable funds, potentially tightening credit and slowing economic growth. Conversely, decreasing the ratio increases lendable funds, which can stimulate lending and economic activity.

Reserve requirements can also serve as a tool to control inflation. If inflation is too high, a central bank might raise reserve requirements to reduce the money supply and dampen demand. While historically a significant tool, the use of reserve requirements has evolved, and many central banks now rely more on other instruments like open market operations and interest rate adjustments to manage monetary policy. The effectiveness and application of reserve requirements can vary significantly between different countries and their respective financial systems.